The Federal Board of Revenue (FBR) is finally putting its foot down. Following serious red flags raised by the Auditor General of Pakistan (AGP), the tax watchdog has launched a massive special audit to figure out exactly who received millions in cash rewards—and whether they actually deserved them.
The main goal of this sweeping crackdown? To stop the blatant misuse of the reward system and claw back taxpayer funds from officials who pocketed payouts without meeting the rules.
Where Did the Money Go?
It turns out that over the 2022-23 and 2023-24 fiscal years, the FBR Headquarters and its 22 field offices handed out cash rewards in at least 40 specific cases that completely bypassed the rulebook.
During a recent review, the AGP discovered that a staggering Rs. 484.44 million was paid out without anyone actually determining if the officials’ work was genuinely “meritorious.” Because these payments violated established guidelines, the AGP has flagged them as inadmissible and issued a strict directive for the FBR to recover the money from the officers involved.
A Three-Week Deadline to Dig Up the Truth
The FBR isn’t dragging its feet on this investigation. They’ve assembled a dedicated audit team spearheaded by Ashraf Ali, the FBR’s Chief of Legal, and put them on a tight three-week deadline to produce a comprehensive report for the Board.
The team is zeroing in on cases handled between July 2021 and December 2025, specifically targeting the Customs Enforcement collectorates in Lahore, Multan, and Quetta.
What Exactly is the FBR Audit Team Looking For?
The investigators have been handed a rigorous 13-point checklist (Terms of Reference) to guide their probe. Here is what they are actively hunting down:
- Following the Money: Tracking every single case where a reward was triggered to see exactly who got paid, making sure the right amounts went to the staff, informers, and the Common Pool Fund (CPF).
- Missing or Split Payments: Looking into the legality of partial payouts and figuring out who exactly benefited from split rewards.
- Unpaid Dues and Complaints: Investigating grievances from officers who claim they never received their rightful share for successful cases, while questioning why older, legitimate cases were sidelined.
- Case Maturity: Double-checking to ensure that the evaded taxes or duties were actually recovered and deposited before the reward was handed out—a core rule that often gets ignored.
Why is the FBR investigating its own cash rewards?
The FBR launched this special audit because the Auditor General of Pakistan (AGP) found that Rs. 484.44 million was paid out to tax officials and informers in 40 cases without following the proper merit guidelines.
Which specific offices are under investigation right now?
Currently, the special audit team is focusing heavily on the Collectorate of Customs (Enforcement) branches located in Lahore, Multan, and Quetta. They are looking at cases processed between July 2021 and December 2025.
How is an FBR official supposed to earn a cash reward?
It takes more than just doing their daily job. Rewards are legally reserved for “meritorious services.” This means an official has to do something extraordinary, like exceeding massive tax recovery targets, bringing in brand-new taxpayers, or successfully recovering old, difficult tax arrears. Plus, the evaded taxes must be successfully recovered before a dime is paid out.
Will the government try to get the money back?
Yes. The AGP has explicitly told the FBR to expedite the recovery of the Rs. 484.44 million from the specific officers and officials who received the cash without meeting the legal criteria.
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